However, some analysts and investors are concerned about a possible slowdown in future growth. Despite exceeding forecasts for both sales and profits, the company's gross margin is expected to fall to 73% in the current quarter. Deutsche Bank analysts noted a "tepid reaction" to the results as the company's guidance "failed to match some of the loftiest expectations." Despite these concerns, HSBC analysts expect significant earnings upside for the 2026 financial year.
Key takeaways:
- Nvidia exceeded forecasts in its third-quarter results, with CEO Jensen Huang announcing that more Blackwell chips will be delivered this quarter than previously estimated.
- Despite the positive results, some investors are concerned about a possible slowdown in future growth, with the gross margin expected to fall to 73% in the current quarter.
- Deutsche Bank analysts noted a 'tepid reaction' to the results as the guidance failed to match some of the highest expectations, with fourth-quarter sales guidance only slightly above the average analyst estimate.
- Stephen Yiu, who manages the London-based Blue Whale growth fund, expressed strong confidence in Nvidia, stating that he wished he could have bought more Nvidia stock due to his bullish stance on AI infrastructure.